Sunday, 15 January 2012

Bank of America faces landmark online fraud case

This case about a Miami businessman is suing Bank of America over $90,000 he says was stolen from his online banking account by Latvian cybercriminals.

The 42-year old businessman says the cash was transferred from his account to Parex Bank in Latvia without his approval. About $20,000 of the money was withdrawn before the account was frozen. A subsequent Secret Service investigation detected the presence of the 'coreflood' keylogging Trojan on the businessman's computer.

Bank of America maintains that it cannot be held responsible for the loss since its systems were not hacked into and that all appropriate measures were taken to complete the transfer. In a complaint filed with the Miami Circuit Court on Thursday, the businessman alleges that Bank of America was negligent and failed to protect him from a known online banking risk.

Comments: The action could become a test case for determining bank liability in phishing frauds. Lawyers representing the victim have told the Miami Sun-Suntinel that the complaint could evolve into a class action suit to include other online banking customers who have had smaller sums rifled from their accounts.

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About Me

Hi, I am Zhao Yanli, a MBA student at MMU University in Malaysia. I created this Blog for my Cyberlaw assignment. As you can see I uploaded cases about cyber crime, and at the end of each one I added my own opinion.

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